Agenda - 11-07-2024; 6-a - Requests from Alcoholic Beverage Control (ABC) Board for General Manager Salary Cap Increase and ABC Board Member Monthly Stipends Increase

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4 ITEM 2: Board Member Stipends The Orange County ABC Board requests to increase stipends for board members to $150 per month ($1,800 annually), $200 per month ($2,400 annually)for the board vice-chair and $250 per month ($3,000 annually)for the board chair. Stipends for the board have not been increased for twenty years. BACKGROUND: On July 1, 2004,the Orange County Board of County Commissioners raised stipends for ABC board members to $75 per month ($900 annually, up from $50 per month) and stipends for the board chair to$125 per month ($1,500 annually, up from $100 per month). These stipends have remained unchanged. Orange County ABC Board members remain the lowest compensated of boards with annual sales of$30-$35 million. • Catawba County ABC ($31.2 million) compensates board members and the board chair$225 per month ($2,700). • Pitt County ABC($33.5 million) offers board members$100 per month ($1,200) and the board chair$150 per month ($1,800). • Concord ABC compensates board members $225 per month ($2,700) and the board chair$275 per month ($3,300). Neighboring ABC boards also offer board members stipends exceeding those afforded by the Orange County ABC Board. • Alamance County ABC ($23.1 million) offers board members and the chair$150 per month ($1,800 annually). • Durham County ABC compensates board members $400 per month ($4,800) and the chair$500 per month ($6,000). Stipends for Orange County ABC board members remain significantly below those of comparable ABC boards. Board stipends should be increased for the present fiscal year and then reviewed by the Board of County Commissioners on a recurring basis to ensure equity on par with similar boards. In Conclusion: The ABC Board historically has significantly exceeded contributions to local law enforcement and community alcohol education efforts. In the past 5 years, contributions to the Orange County General have increased significantly($805,000 in FY 2024). During the same timeframe,the ABC Board has raised the starting salary of full-time employees well above the Orange County"living wage" standard and has increased the salary ranges at all levels of the organization. General Manager and Board Member compensation has lagged despite the pay increases in all other areas.These matters can only be addressed with the approval of the Board of County Commissioners. It is recommended that the General Manager's salary cap and board member stipends be approved as requested. Further, the ABC Board will review the general manager's salary cap and board stipends on a recurring basis (every 5-6 years) and bring to the attention of the Board of County Commissioners if deemed appropriate.